4 ms·

Long term is entirely relative. A month pause is a long term pause for many many businesses.

• wheelerwj 7y ago
  Also, people have to remember that any kind of pause will take along time to recover from. Businesses can't just start back up and immediately make up for the lack for production. They might be able to increase their production 10-20% in any given month but that means 5-10 months to make up for a single month of lack of production. And China has been down for 4 months...
  • TeMPOraL 7y ago
    China is recovering, but the supply chains are shot. Ocean freight is a mess. Meanwhile, with almost all Europe in lockdown and both the UK and the US about to join them, we have an opposite problem of demand going down, threatening the suppliers. US cutting off the bulk of EU-US cargo transport isn't helping either (passenger planes carried most of the air freight between Europe and North America). It's a mess, and it'll take long time to recover. I expect it will be survivable in terms of basics (food, medicine), but it might be years before trade works as smoothly as it did just few months ago.
• everybodyknows 7y ago
  Businesses will find they can now get away with stiffing many, many of their creditors.
  • threatofrain 7y ago
    The creditors will remember after the dust settles?
  • woodandsteel 7y ago
    If a creditor gets stiffed by enough of its clients, it will go bankrupt.